They hit $1 billion. But the multiple still demands miracles.
Palantir posted second-quarter revenue of $1 billion, up 48% from last year. Earnings per share came in at $0.16, beating consensus by $0.02. U.S. commercial nearly doubled to $306 million. Government contracts jumped 53% to $426 million. Total contract value surged 140% to $2.27 billion. But none of that justifies a trailing price to earnings ratio of 673.7 or the $1,285.6 figure cited by MacroTrends. Forward P E is still 277.8, which assumes perfect execution and zero margin erosion.
The beat was clean. But not explosive. Revenue was just 6.4% above consensus. EPS beat by 14.3%. Options priced in an 11% move. The actual results didn’t deliver that kind of upside. Net income for the quarter was $326.7 million, or $0.13 per share. The stock trades like it earns $13.
Microsoft trades at 34 times forward earnings. Salesforce at 22. Nvidia at 44. Palantir 277.8.
International traction is still weak. Commercial revenue outside the U.S. fell to $147.1 million, down from $148 million last year. Europe remains soft. Asia and MENA growth hasn’t materialized. The $10 billion Army deal is headline bait not booked revenue.
Retail owns the rally. Institutional ownership is just 45.65% according to MarketBeat. Fintel shows 59.77%, still below the 80% seen in legacy software names. Analysts are split. Only two of twelve rate it a buy. The consensus price target is $107. That is 33% below the current price of $160.66.
https://www.cnbc.com/2025/08/04/palantir-pltr-q2-earnings-2025.html
https://www.macrotrends.net/stocks/charts/PLTR/palantir-technologies/pe-ratio
https://www.marketbeat.com/stocks/NASDAQ/PLTR/institutional-ownership/
https://www.financecharts.com/stocks/PLTR/value/pe-ratio https://www.fintel.io/so/us/pltr